Sdi Share Discussion Threads

[discodave4] 11/12/2018 20:39

Thanks buywell, but don't think you are factoring in that dilution will happen if the percentage increase in issued shares (due to the placing) is more than the percentage increase of the price of the placing (assuming also that the placing price puts a floor under the market price), then the value of your shareholding will be diluted...........maybe only for a short while but who knows!, no guarantees with placings. That's my interpretation anyway.DD

[petewy] 11/12/2018 10:43

buywell is as verbose as superg1 (see VRS)

[buywell3] 11/12/2018 02:15

Yes I will explain

If a share is trading at 36p and is doing very well with turnover rising for 3 straight years, profits rising circa 25% plus per year , in a sweet spot in a good sector with good forward guidance and making sensible acquisitions within cash/credit resources ... then that company should be able to ask for cash for shares at 38p plus

Hence the amount per share does not fall due to dilution .... but the opposite ... it rises as the market sees value





DiscoDave48 Dec '18 - 16:46 - 1371 of 1383

Hi buywell,
Can you clarify an earlier comment you made please:
“Now they don't SDI should be able to get the next placing if and when it happens away at market price ie NO DILUTION.”

Surely any fund raise via a share placing, whether at discount or not, will result in dilution.

Thanks
DD
ps for the record not a holder but have these on my watch list (along with JDG).

[buywell3] 11/12/2018 02:06

Yes you can its because on your Inland Homes thread I said 50p was coming via a proxy

In good faith because you were once a SDI shareholder I warned of a coming property meltdown

buywell3 - 16 Jun 2017 - 15:15:24 - 2106 of 2806 Inland Homes - INL
You mean they have ramped up just when the UK property market is starting to slide

the proxy Shanklin said this ... and was spot on

buywell3 - 08 Sep 2017 - 14:00:05 - 2256 of 2806 Inland Homes - INL
Best post so far

Why have Institutions not bought into this ?

Shanklin ... any views

Chartwise 50p retest any time soon










PJ 110 Dec '18 - 08:06 - 1378 of 1382

I cannot recall why I have Buywell1 and Buywell2 on my filter list.

I now have the hat trick!



Plus what you said above is a lie

[double teapot] 10/12/2018 12:51

Well said rivaldo. I was enjoying this bb (silence interspersed with factual discussion - the best kind. The ones without hysterical gossip, conjecture, speculation, ramping, and biased 'research') until buywell3 ruined it. I have rather a lot here too, hopefully for a long time.

[rivaldo] 10/12/2018 11:36

As a number of posters have already pointed out:

(1) hastings is one of the best and most trustworthy posters on ADVFN

(2) SDI are absolutely right to keep in their armoury some equity issuance if the situation warrants it due to a potential acquisition being highly earnings-enhancing or whatever. Which doesn't mean they don't and won't prefer to use other non-dilutive methods of acquisition if possible using their plentiful cash flows and loan facilities

End of discussion :o))

[petewy] 10/12/2018 09:51

yeah Buywell filtered

[rhomboid] 10/12/2018 08:28

Buywell
I did ..as per my post

Chairman CFO & CEO were involved in the conversation and all provided the same answer

[pj 1] 10/12/2018 08:06

I cannot recall why I have Buywell1 and Buywell2 on my filter list.

I now have the hat trick!

[bamboo2] 10/12/2018 07:42

buywell, there's no need to be nasty.

[buywell3] 10/12/2018 00:46

Rhomboid or Hastings

Tell me this

Who asked about share placing ?

Who gave the answer from the BoD

[bamboo2] 09/12/2018 14:11

H&S, with targets, and historical support. Potential turn 12/12/2018
This is a general market led decline rather than sdi specific, imo

[dan_the_epic] 09/12/2018 11:16

Almost all empirical analysis i've read says technical analysis does not work

One of many examples
hxxp://lup.lub.lu.se/luur/download?func=downloadFile&recordOId=8905915&fileOId=8905916

[discodave4] 08/12/2018 16:46

Hi buywell,Can you clarify an earlier comment you made please:"Now they don't SDI should be able to get the next placing if and when it happens away at market price ie NO DILUTION."Surely any fund raise via a share placing, whether at discount or not, will result in dilution.ThanksDDps for the record not a holder but have these on my watch list (along with JDG).

[rhomboid] 08/12/2018 12:17

hi Buywell

I was also at the AGM & spent a considerable amount of time talking to CEO Chairman & FD about the subject of keeping the share count constant going forward in the same way Judges have

They made the point that in the past they’d few options other than equity issuance as debt was not readily available

They were crystal clear that the new bank facility with accordion coupled with their rapidly increasing cash flow will provide ample firepower for the bolt on acquisitions they typically make.

They made the perfectly rational point that it would be wrong to categorically rule it out as in some cases a deal might be so overwhelmingly attractive that equity issuance would be in the interests of existing holders if it was required to get the deal done

So in summary I’m delighted to hold rather a lot of SDI shares & added on the back of the reassurance I got re equity issuance & the v positive AGM

You may have noticed the wider market turbulence..I suspect that is an influence on the shares rather than an irrational fear of a non existent & unnecessary placing 🙂

[pireric] 07/12/2018 19:26

Hastings - trading update said 17th

[buywell3] 07/12/2018 17:53

You should be more careful of what you report than is NOT in the public domain

and your flippancy re dwarfs does you no credit

On the 25th Sept SDI share price was over 42p, that was the day you posted about a placing





Who on the BoD made the comment ?



And I did make the point re your post the next day I said

''Re share dilution


SDI in the past had to discount shares to get them away to raise cash

Now they don't

SDI should be able to get the next placing if and when it happens away at market price ie NO DILUTION.

Increase in profits and turnover achieved in the last two years should ensure this can be done.

Two years from now SDI might be able to even get a premium to market share price to raise cash.''


I said that because I thought your mention about a placing was very ill advised ... which IMO has proved correct.




hastings7 Dec '18 - 17:46 - 1367 of 1367

The comment was made at the AGM from the board as part of the wider acquisition strategy and options open. Nothing at all surprising in that and seems very sensible to me to keep all options open.
I do find it very odd that you suddenly raise the point close to three months on from when I posted the notes.
Hey ho though each to their own!!

[hastings] 07/12/2018 17:46

The comment was made at the AGM from the board as part of the wider acquisition strategy and options open. Nothing at all surprising in that and seems very sensible to me to keep all options open.I do find it very odd that you suddenly raise the point close to three months on from when I posted the notes.Hey ho though each to their own!!

[hastings] 07/12/2018 13:29

Good to see CM and I'm hoping for another good year here too.Interim's are actually out on the 18th btw.